Ian Wallace Craftsman Liability Insurance Warning

[stuwaudby]

Word of warning on a daft legal point of the Ian Wallace Craftsman policy I know some of you may have.

In the general exceptions section, paragraph 3 there is a general exclusion of Jewelery and Precious metals (among other things). This paragraph will apply to the public liability and product liability and means that our finished products are not covered! I am sure this is not the intention of the policy and Ian Wallace has confirmed this is the case. I suggest anyone else with a policy also gets written confirmation that the exception does not apply to your products. (Just in case.)

Stu

[Blue Box Studio]

Whaaaat?  My policy schedule specifically states jewellery!  Granted I am having a total numpty day, but where is this 'General exceptions para 3' Stu?  I've got the schedule and the certificate, nothing else, and can't find it on these?   Am I supposed to have a policy booklet as well?  Best check before I go and speak to Naomi again.  Last week it was the cover for the US/Canada, now this.


ETA: I never throw anything away!  My initial application in 2005 clearly says I make jewellery with precious metals [I was insured with them under a former name long before this actual policy].  No sign of a policy document of any sort, this must be where para 3 is mentioned.  I'm now a bit concerned I've paid a lot for something that will not cover me in the event of a claim, heaven forbid it happens but that's why you have insurance. 

First house insurance and now this!

[SRJ]

Now I'm going to get it out and look too........

Sue

[Blue Box Studio]

I've heard back from Naomi Wallace; she's sent me a copy of the policy document, I've not seen that before.  It does indeed say jewellery is excluded, but at the bottom of the section it says 'unless specifically mentioned'.  She also said that they are registred with the FSA so cannot sell a policy they know will not meet [my] needs.  As an aside I would say it does happen, I had a broker in Bournemouth who sold me an NIG policy years ago, and it wasn't until I queried something with NIG I found that they did not cover jewellery!  That broker said they 'didn't think it would bother' me!

Anyway, hopefully sorted.  Better read the policy document now.

[stuwaudby]

I ended up exchanging a number of e-mails with them and didn't get a totally satisfactory outcome. Where we got to:


Wallace's Opinion: The application document states that we make glass jewellery and therfore the exclusion doesn't apply. We wouldn't sell a policy whch knew wouldn't be suitable.

My opinion: An insurance policy is no more than a contract, which does benifit from a little more protective legislation than The specific exclusion would require a line somewhere in the documents which specifically states that your jewellry products are excluded from the general exclusion. The decription of the business falls short of this "specific" requirement. FSA membership merely means that the broker is subject to the regulations

This leaves the situation where if the insurance fails to pay out in the event of a claim then the insurance broker becomes culpable. Getting money out of the broker could be difficult. The broker is however required to have proffesional indemnity insurance which protects them against breaking the FSA rules. (Yes the insurers have to insure themselves!)

The fact that we have raised this issue with the broker and he has accepted it sets a clear precedence in the event of a claim. If we had not challenged it then a challenge would simply fall back to the meaning of the words on the contract.

Hopefully the policy will be sorted out for next year.

To be honest I have not been impressed with the attitude of Ian Wallace in repeatedly denying that their is an issue. We will be looking at alternatives next year.

[Josephine]

I'm thinking of moving to the Artists Network next time mine is up for renewal.

[Blue Box Studio]

I need to sort out better home insurance that covers the businesses, husband also works from home part time, so it might be that I end up getting everything else from one company anyway.  Not DL though, they are the ones who were moving goal posts like an Olympic sport this year!!